Inadequate Backup Practices by SMBs
A 2014 Report on the State of
Backup for SMBs, which demonstrates how exposed SMBs are in relation to data
protection, backup, security and recovery.
The survey compiles responses from
500 IT professionals at companies in the U.S. with fewer than 100 employees.
Startling statistics show that 40% of IT
professionals who service small businesses believe it's likely their companies
would go out of business if they permanently lost all their files, and 58% are
not very prepared to experience any amount of data loss.
The report highlights current trends, observations, opinions
and attitudes about the state of backup from the small business IT pro's point
While data protection may be top of mind for IT, this report
demonstrates why protecting data files should be a company-wide concern and
policy, beyond just the financial impact of data loss, most business owners
don't realize how data loss can affect other aspects of their business,
including their employees.
Five key takeaways for businesses emerged from the survey
responses, which should serve as a wakeup call to reprioritize how businesses
protect their data and its security:
1. Data Is a Silent Killer to the Bottom Line
Of the SMB IT pros surveyed, 62% had
experienced the painful results of data loss and 33%t of those reported profit
loss as a result. The IT pros surveyed believe
it would cost their companies an average of $468,610 in
lost revenue if they lost all their data files.
2. The Non-Financial Impact of Data Loss
Nearly two-thirds (62%) of IT
professionals surveyed had experienced some form of data loss in their careers.
While 33% replied that a result had been profit loss and 32% cited a missed
business opportunity, many also reported that data loss hurt employees. These
negative impacts on employees included:
- Work/life balance of employees suffered (25%)
- Office morale suffered (24%)
- The IT department became micro-managed (21%)
- Employees were fired or laid-off (15%)
- Employees quit (11%)
3. Data Security Among
It was evident from the survey results that IT
professionals at SMBs are not overly concerned with outside forces exploiting
vulnerabilities in their systems and stealing data. While 22% of those surveyed
placed the likelihood of an outside threat at either
somewhat likely, an
overwhelming majority (78%) placed their concerns as only
somewhat unlikely or
Some of these respondents, however, could be exposing themselves to additional
risk by not encrypting their backup data. Only 54% of respondents said they
encrypted more than half of their data files and 10% do not encrypt any of their
backup data, which is surprising considering today's escalating risks.
4. Backup is Underutilized
Daily backup is key to maintaining business operations, yet
only a third of respondents (32%) said they had completed a backup that day.
Nearly half of all respondents had backed up all of their business' documents
and files within the past week, and 15% said their most recent backup is up to a
5. Backing Up Online and to Cloud
While this still lags behind the SMBs
who backup to an external device, such as an
external HDD, NAS device or server (70%), cloud use is more
popular than off-site servers (37%) and flash drives (30%).
However, nearly one-third of those surveyed said their
organizations continue to backup data on employee computers or some other local